There’s nothing more frustrating than purchasing an item and finding out, long after you’ve spent the money on it, that it is a fake. Unfortunately, this is something that happens quite frequently in the high-end fashion industry. With such a rampant degree of deception running through the industry, the secondhand goods market is often affected by people who are hesitant to purchase items because of the risk to their authenticity. In the wake of such a reputation, it is important for retailers to build a sense of trust with their customers, and that is something that The RealReal takes very seriously. They have made a name for themselves as a trustworthy luxury goods consignor with professionals dedicated to the authentication of their goods. While there’s always a risk with shopping online, The RealReal has been successful in creating a good relationship with its buyers.
This good relationship that they have built has also made it possible for The RealReal to grow within its industry. It has created a substantial mark on the fashion world in general, garnering collaboration from many of the top fashion brands. The success means that the company needs to continue their substantial growth. An article can be found on Recode.net that discusses some of the things that The RealReal is doing to help secure its financial future. “The RealReal-The Fashion Site That Sells Secondhand Gucci and Louis Vuitton-Wants to Raise a New $100 Million Investment” has done a lot of speculating as to why the company has opted to request additional funding from private investment firms or individuals.
The most common reason for such a request is to facilitate growth, and The RealReal has been growing at an alarmingly successful rate since it first started making sales on its website. In fact, it has been so successful that it is speculating launching more retail locations than the one it currently has in Soho, New York City. The Soho location has been very successful and even host workshops to help teach individuals about fake items. This new investment may go a long way towards increasing those opportunities.